Filinvest 2015 net income grows 13% to P7B

LISTED conglomerate Filinvest Development Corp. (FDC) said its net income in 2015 increased by 13 percent to P7 billion from P6.2 billion in the previous year on the strong performances of its real estate and power business segments.

In a disclosure to the Philippine Stock Exchange, the holding company of the Gotianun family said it generated revenues of P49.3 billion last year, up more than 28 percent from the P38.6 billion posted in 2014.

FDC partly attributed the revenue growth to the initial recognition of electricity sales from its power subsidiary, FDC Utilities Inc. (FDCUI), and increased sales from its real estate operations.

“FDCUI saw its first significant revenue stream in 2015 as it recognized the sale of power from its Independent Power Producer Administrator contracts with Unified Leyte Geothermal Plant and Apo Geothermal Power Plant,” FDC said.

Real estate subsidiaries Filinvest Land Inc. (FLI) and Filinvest Alabang Inc. (FAI) continued to contribute to the growth of the group. FLI’s consolidated revenues for 2015 rose 7 percent to P18.3 billion while FAI generated P1.9 billion in revenues.

Banking subsidiary East West Bank generated net income of P2.0 billion in 2015 and continued to post a healthy 23-percent growth in its core revenues driven mainly by net interest income.

“This was the result of the expansion of its loan portfolio,” FDC said. “Consumer loans, which account for 58 percent of total consumer loans, grew 38 percent to P90.8 billion led by auto loans and personal loans. Corporate loans grew 18 percent to P66.4 billion.”

Revenues from its sugar business rose 5 percent while revenues from its hotel group grew by 16 percent.

FDC said it is set to launch its newest hotel later this year, the Crimson Resort and Spa in Boracay.

FDC President and CEO Josephine Gotianun-Yap said, “We have much to look forward to in 2016, as we expand the FDC portfolio with our investments in the power sector.”

“This year, we are looking forward to commissioning the group’s 405-MW coal-fired power plant in Misamis Oriental and providing much-needed electricity to the Mindanao grid,” she said.